The United States has many different trade partners all around the world. Which allows US-based businesses to enjoy financial benefits. One of the most favored partnerships is between us and Mexico. This is extremely beneficial to US businesses due to our close proximity to each other.
This article is designed to introduce a number of things dealing with trade between two countries, the US and Mexico. To include what types of rules and regulations are in place to protect us and organizations who are there to help businesses to get the most out of these trade partnerships within the law. One such organization, the Abady Law Firm, is an expert in the field of Customs Law for Import/Export Businesses.
WHAT IS IMPORTING AND EXPORTING?
Let’s get started by talking about the basics first and then we can deep dive into more details a little later. So, let’s start with the two most important aspects of any trade partnership; importing and exporting of goods across the border. The importing and exporting of goods produced in each country is an integral part of any successful trade partnership.
Importing – Importing simply is the act of bringing in goods or services from abroad (outside of the country). This can mean from as close as Mexico to our south or Canada to our north. It really does not matter what the product is (agricultural or manufactured) as long as it comes from outside the United States and it crosses the border from Mexico, it is considered importing.
Exporting – Exporting is the act of selling any product or service to any party outside of the country of its origin. Exporting does not have to mean the products have to ship around the world, it can easily be to a company or individual on the other side of our southern border into Mexico.
WHAT IS THE U.S. CUSTOMS AND BORDER PROTECTION?
U.S. Customs and Border Protection is the federal agency that is tasked with protecting all of the borders of the United States. This includes the East Coast, West Coast, Canadian, and Mexican borders on land and sea. It is also the largest law enforcement agency in the United States of America and it is under the control of the Department of Homeland Security.
Border patrol agents and US Customs agents are the primary people responsible for carrying out the immigration laws, regulating trade, and customs laws of the United States.
The agency and all of its agents and officers are responsible to prevent the illegal entry of people and goods into the United States. Using the full power of the Federal Government, U.S. Customs and Border Protection literally are tasked with keeping the United States safe at all times.
TOP ITEMS IMPORTED FROM MEXICO
Thanks to a very carefully negotiated trade deal, the North American countries which includes Canada, the US, and Mexico, US companies, and US consumers benefit from goods made in Mexico and imported into the country. According to the latest statistics, the Top 5 product categories that are currently being imported are; Automobiles, Auto Parts and Equipment, Agricultural products, Appliances, and Electronics.
Here is a brief description of the amount of each of the top 5 imports that make up the total of products sold in the US.
Automobiles – Just over 15% of all vehicles sold in America are manufactured in Mexico or 16 out of every 100. Most of the top car makers have assembly plants located in Mexico.
Auto Parts and Equipment – The same applies to parts for cars, light trucks, and tractors, in search of cheaper ways to supply these much-needed items. Many manufacturers have looked to Mexico for their supplies.
Agricultural Products – Mexico is the number two source of imported agricultural products such as fruits and vegetables sold in America. Mexico and other Central American countries make 75% of the imports.
Appliances – American companies spend billions of dollars on average to Mexico for the appliances that they sell to American consumers every year. Manufactured products make up a huge amount of the overall imported items that come from Mexico.
Electronics – Imports of electronics such as cell phones, computers, and computer monitors come across the border from Mexico. To the tune of several billion dollars every year.
What You Need To Know For Importing Goods From Mexico
As a US-based business that is looking to Mexican companies to supply your company with its products. There are many things that you need to be aware of. While it is not meant to be an impediment, import laws and restrictions are in place to protect the United States.
It is very important to know all of the laws, rules, and regulations that are involved when dealing with a foreign company and importing its products. Fortunately, if you have all the right documents filled out and submitted properly you will have nothing to worry about.
There are six specific pieces of documentation that are necessary to be filed with the US Customs and Border Protection Agency in order to import products from Mexico. Below is a list of the documentation that is necessary.
- A detailed invoice that describes all items in the shipment
- Proof that the shipment follows all non-tariff regulations and restrictions
- Certified document of where the shipment originated
- Verified description of the shipment
- Verification of volume and weight of the contents of the shipment
- Proof that a bond for the shipment has been acquired
MARK AND LABEL YOUR GOODS
All products that originated from Mexico and were imported to the US must be labeled as such. Depending on the type of product will determine the precise type and location of the label, marking or tag is displayed. However, in general, the country of origin must be located in a very noticeable place and must be adhered to in a way that makes it very difficult to be removed.
KNOW WHICH GOODS ARE DUTY-FREE
Thanks to the USMCA (United States Mexico Canada Agreement) signed by the US, Canada, and Mexico some goods made in Mexico that are important to the US are duty and tariff-free. This is very important to any business that is looking to sell products that originate from Mexico.
FINDING IMPORTANT INFORMATION REGARDING IMPORTING FROM MEXICO
The laws, rules, and regulations that govern the importing of goods made in Mexico can be confusing. Fortunately, there is a business that can help with your customs and import questions, Abady Law Firm. They are an experienced Customs Broker and Import Law firm. They will make a great part for your business to be involved with and will help you stay in compliance with all of the laws, rules, and regulations.
Conclusion
Anytime you and your business must rely on acquiring products that are produced in a foreign country such as Mexico, you must know everything that is involved ahead of time. That means knowing what customs and import rules and laws apply. To protect yourself and your business you should partner with an experienced customs broker and attorney.
That is where the Abady Law Firm comes into play. They are an experienced business that knows custom law inside and out. They will help you to navigate through all of the rules and laws that govern the importing of goods from Mexico and other foreign countries. If you are looking to get started in a business that will be relying on products from outside of the US, you really should contact Abady Law Firm.
